Affordable Housing Resolution

Resolution 2004R-260

Whereas, the City of Minneapolis desires to clarify and streamline existing City housing policies by adopting a unified document that consolidates various fragmented policies of the City; and

Whereas, the unified policy restates, consolidates and replaces, in part or in whole, as indicated, previous City housing policy documents;

Now, Therefore, Be it Resolved by the City Council of the City of Minneapolis:

That the City of Minneapolis hereby adopts the Unified City of Minneapolis Housing Policy and rescinds previous housing policies to the extent such previous policies are replaced by the Unified Housing Policy as indicated below:

4.17 Minneapolis will promote housing development that supports a variety of housing types at designated Major Housing Sites throughout the city.

4.18 Minneapolis will encourage both a density and a mix of land uses in TSAs that both support ridership for transit as well as benefit from its users.

4.19 Minneapolis will require design standards for TSAs that are oriented to the pedestrian and bicyclist and that enforce traditional urban form.

(Restates parallel language in The Minneapolis Plan: adopted March 2000).

The City will foster the development and preservation of a mix of quality housing types that is available, affordable, meets current needs, and promotes future growth. (Restates parallel language in Minneapolis City Goals and Expectations, adopted January 17, 2003).

2. Affordable Housing

That Resolution 1999R-192 entitled "Adopting an Affordable Housing Policy for the City of Minneapolis", passed September 7, 1999, and Resolution 2001R-057 entitled "Strengthening the City of Minneapolis/Minneapolis Community Development Agency’s Affordable Housing Policy", passed February 16, 2001, be and are hereby rescinded.

The City of Minneapolis has launched an "Affordable Housing Initiative." The City of Minneapolis shall have as a clearly stated goal, consistent with The Minneapolis Plan, to grow the population and to have no net loss of housing across all income levels. The City policy will be positive gain on affordable housing units.

Each year the City will create more units affordable at 30-50% of Metropolitan Median Income (MMI) through new construction/positive conversion than the number of habitable units affordable to 30-50% of MMI that are demolished as a result of City sponsored projects.

Funding for housing programs serving those above 50% of MMI shall continue and those programs will remain a vital part of the City’s housing policy.

Twenty percent (20%) of the units of each City assisted housing project of ten or more units will be affordable to households earning 50% or less of the MMI. It is understood that these affordable units may include any mix of rental and/or homeownership, and can be located on the project site or anywhere within the City of Minneapolis. For the purposes of this provision, financial assistance shall include tax increment financing, pollution remediation, condemnation, land buydowns, issuance of bonds to finance the project, and direct subsidy. Any specific projects requesting exemptions to this requirement must seek City Council approval on the basis of alternative public purpose.

The City will have a coordinated housing and economic development strategy. New affordable housing will be targeted for designated growth areas and commercial and transit corridors that can benefit from and support increased housing density.

The City will focus on linking incentives to housing opportunities in proximity to jobs and transit.

No City funds or resources shall be used for operating subsidies and/or rental assistance for any units or projects initiated or created under this policy.

3. SRO Replacement

That Resolution 1986R-379 entitled "Establishing a Policy for Replacement of Low-Income Dwelling Units in those Projects Where Public Financial Assistance is Requested", passed September 10, 1986, and Resolution 2000R-433 entitled "Preserving or replacing Single Room Occupancy (SRO)-type housing", passed September 29, 2000, be and are hereby rescinded.

That the City of Minneapolis prohibits the demolition/condemnation/elimination of SRO-type housing for any project receiving City assistance in the City of Minneapolis, as defined above, unless demolition/condemnation is unavoidable, in which case replacement of such units will be required as part of the project finance plan.

4. Senior Housing

That Resolution 2001R-539 entitled "Establishing a Senior Rental Housing Policy", passed December 28, 2001 be and is hereby rescinded.

The City has the following goals and objectives:

Support development of affordable and mixed-income senior rental housing in all quadrants of Minneapolis. Senior rental housing may include independent rental, congregate, and/or assisted living projects;

That the report passed by the Council on September 13, 1991 approving the Policy on Preservation/Stabilization of Federally Subsidized Low-Income Housing be and is hereby rescinded;

The preservation and stabilization of federally (HUD) subsidized rental housing that is in danger of converting to market-rate housing, having subsidies expire, or is deteriorating due to poor management, is a priority for the City. The highest priority is the preservation of subsidized housing for families with children (2+ bedroom units). Federally subsidized housing for singles (efficiency and 1 bedroom units) should only be preserved to the extent there are federal funds available, with the exception of special needs populations.

6. Homeless Housing

That Resolution 2000R-192 entitled "Adopting the recommendations of the City/County Homeless Task Force", passed May 5, 2000; and the report passed on August 10, 2001 adopting legislative, system and housing creation recommendations be and are hereby rescinded.

We must address the affordable housing crisis if we ever hope to alleviate homelessness in Hennepin County. The major problem underlying shelter use is the lack of affordable permanent and supportive housing. The metropolitan region is experiencing a severe shortage of affordable housing which is exacerbating homelessness in our community and there is a need for a metropolitan-wide response to issues of homelessness.

The City of Minneapolis will be an active partner in the City-County Homeless Task Force to address the housing needs of the homeless.

Be It Further Resolved that Resolution 1995R-198 entitled "Outlining principles for housing and tax base growth in the City of Minneapolis", passed June 30, 1995 be and is hereby rescinded.